Ideal Power Announces $30.0 Million Registered Direct Offering of Common Stock

AUSTIN, Texas, May 14, 2026 — Ideal Power Inc. (Nasdaq: IPWR) ("Ideal Power," the "Company," "we," or "our"), pioneering the development and commercialization of the highly efficient and broadly patented B-TRAN® bidirectional semiconductor power switch, today announced that it has entered into a definitive agreements with certain institutional investors for the purchase and sale of an aggregate of 5,291,005 shares of common stock (or common stock equivalents) priced at the market under Nasdaq rules. The offering is expected to result in gross proceeds of approximately $30 million, before deducting offering expenses. The closing of the offering is expected to occur on or about May 18, 2026, subject to the satisfaction of customary closing conditions.

The Company intends to use the net proceeds from these financings to advance commercialization of B-TRAN®, including customer design-ins, custom development programs, initial production ramp with strategic partners, and general corporate and working capital purposes.

"This financing strengthens our balance sheet at a pivotal moment for Ideal Power," said David Somo, President and Chief Executive Officer of Ideal Power. "With the accelerating demand for data centers and power, hyperscalers have focused on more efficient power architectures. This financing allows us to be well-positioned to ramp the commercialization of our B-TRAN® technology, advance customer engagements, and capitalize on the significant opportunities emerging across industrial markets."

Titan Partners, a division of American Capital Partners, is acting as the sole placement agent for the financing.

The offering is being made pursuant to an effective shelf registration statement on Form S-3 (No. 333-292492) (including a base prospectus) previously filed with the U.S. Securities and Exchange Commission (the "SEC") on December 30, 2025, and declared effective on January 9, 2026. The common stock (or common stock equivalents) is being offered only by means of a prospectus, including a prospectus supplement, forming a part of the effective Registration Statement. A prospectus supplement and accompanying prospectus relating to, and describing the terms of, the offering will be filed with the SEC and will be available for free on the SEC's website at www.sec.gov. Electronic copies of the prospectus supplement and accompanying prospectus may also be obtained, when available, by contacting Titan Partners Group LLC, a division of American Capital Partners, LLC, 4 World Trade Center, 49th Floor, New York, NY 10007, by phone at (929) 833-1246 or by email at [email protected].

This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or jurisdiction.

About Ideal Power Inc.

Ideal Power (Nasdaq: IPWR) is the developer and provider of its innovative and widely patented B-TRAN® bidirectional semiconductor power switch. B-TRAN® offers compelling advantages over conventional technologies and addresses the demanding standards of today's solid-state circuit protection and intelligent power delivery systems. It features very low conduction losses that deliver improved power efficiency, thereby reducing energy consumption and providing cost savings. The unique bidirectional capability of B-TRAN® simplifies the design, control and diagnostics of solid-state power solutions while enabling smaller, lower cost systems. B-TRAN® delivers compelling advantages for a broad spectrum of applications including solid-state circuit breakers, static transfer switches, battery disconnect units and EV contactors that are widely used in data centers, industrial power systems, energy grid and storage systems, and electric vehicles and charging infrastructure.

Ideal Power Investor Relations Contact

Jeff Christensen Darrow Associates Investor Relations [email protected] 703-297-6917